ENSHU Limited
6218・Standard Market・Machinery
Machine Tool-Related Business
A loss-making segment still undergoing structural reform, but the loss has narrowed significantly
| Period | Current | Previous | Change |
|---|---|---|---|
| Net sales (full year) | ¥6,756 million | ¥9,869 million | ↓ |
| Segment loss (operating loss) (full year) | -¥407 million | -¥1,126 million | ↑ |
| Impairment loss (full year) | ¥84 million | ¥1,325 million | ↑ |
| Depreciation and amortization (full year) | ¥150 million | ¥388 million | ↓ |
| Segment assets (fiscal year-end) | ¥10,574 million | ¥12,210 million | ↓ |
| Increase in property, plant and equipment and intangible assets | ¥92 million | ¥283 million | ↓ |
Business Details
Manufactures and sells Flexible Transfer Machine & Line, various special-purpose machines, machining centers, semiconductor laser processing machines, and other products. In addition to domestic manufacturing, local subsidiaries in the US, Thailand, Indonesia, China, and India handle sales, while Enshu Connected Co., Ltd. operates the System Integration Service. The company is working to reduce its dependence on the automotive industry and is pursuing expansion into new markets such as system integrators (SIer), medical, and semiconductors.
Recent Overview
Sales declined in Japan, North America, and India, but structural reform significantly narrowed the loss
Net sales for FY2026 (ending March 2026) declined significantly to ¥6,756 million (down 31.5% year on year). The main causes were decreases in sales in Japan and in North America, India, and other regions compared to the prior period. On the other hand, thanks to the effects of structural reform and cost reduction measures, the segment loss narrowed significantly to ¥407 million (compared to a loss of ¥1,126 million in the prior period). Impairment loss also decreased significantly to ¥84 million (from ¥1,325 million in the prior period). For FY2027 (ending March 2027), the company plans to achieve both sales growth and a return to profitability.
Key Products
Growth Drivers
- Promoting order acquisition in new business areas (SIer, medical, semiconductors)
- Developing new markets for EVs and semiconductors through semiconductor laser processing machines
- Capturing demand for automation and DX through Enshu Connected
- Improving profitability structure through structural reform (cost reduction, lowering the break-even point)
- Establishing a stable revenue base by strengthening the maintenance service business
- Transforming the business structure into five businesses: (1) system machine tools, (2) development-type machine manufacturing through customer collaboration, (3) laser processing systems, (4) SIer & IoT, and (5) maintenance services
Risks
- Risk of prolonged order stagnation due to sluggish capital investment domestically and in the automotive sector
- Low stability of earnings because the timing of sales recognition for system projects is variable due to customer circumstances and other factors
- Risk of supply chain disruption due to concerns over US-China tensions and tariff policy, as well as weak demand in North America, India, and elsewhere
- Risk of delayed execution of the business structure transformation (transition to five businesses)
- Risk of profit pressure from rising raw material prices due to yen depreciation
- Decline in capital investment appetite due to geopolitical uncertainty, including the situation in the Middle East
Last updated: June 26, 2026